Smithfield Renews Downtown Development Contract Amid Push to Rebuild Business Trust

SMITHFIELD, N.C. — Just weeks after downtown business owners expressed frustration over communication, foot traffic and business recruitment, the Downtown Smithfield Development Corporation returned to the Smithfield Town Council with a message: progress has been made, but more work lies ahead.

Executive Director Heidi Gilmore presented the organization’s annual report July 21, highlighting more than $3.19 million in public and private investment, new jobs, new businesses and several initiatives aimed at addressing concerns raised in a business survey presented to the council in June. Later in the meeting, the council unanimously approved a new three-year contract with the DSDC to continue managing the town’s Municipal Service District.

The presentation followed a June report in which downtown business owners offered mixed reviews of the organization. While many praised the DSDC’s work, others cited concerns about communication, limited foot traffic outside of festivals, vacant storefronts, parking and a lack of collaboration.

The July 21 report sought to answer many of those concerns.

Gilmore told the council the DSDC was creating a downtown that is vibrant every day—not just during events, while outlining priorities for the coming year.

Among the organization’s biggest initiatives is the creation of a Downtown Business Alliance, with its first meeting scheduled for Aug. 13 at Town Hall. The alliance is designed to improve communication among merchants, encourage cross-promotion, coordinate marketing efforts, increase collaboration and ultimately drive more foot traffic to downtown businesses.

The DSDC also plans to develop a Downtown Master Plan in response to upcoming N.C. Department of Transportation improvements along Market Street. The effort will focus on storefront activation, streetscape improvements, signage, public parking and helping businesses navigate construction-related disruptions.

To assist merchants during the roadway project, Gilmore said the organization is developing a Small Business Impact Grant Program that would help businesses improve storefronts, increase visibility, activate outdoor spaces and create more inviting customer experiences.

The annual report also highlighted accomplishments from the past fiscal year.

According to the DSDC, downtown experienced $3.19 million in total investment, including more than $2.7 million in private investment and $489,000 in public investment. The year included two façade improvement projects, three building renovations and nearly $14,000 in grants awarded to local businesses.

Despite six businesses closing or relocating, six new businesses opened during the year, resulting in a net gain of 26 full-time jobs and nine part-time jobs, according to Gilmore.

The organization also pointed to six signature downtown events that generated approximately $1.14 million in economic impact, while volunteers contributed more than 1,150 hours.

Other accomplishments included regaining Main Street America accreditation, launching a new brand identity and website, completing the first year of a five-year strategic plan, creating a pocket park at the former library corner and adopting zoning changes intended to attract a broader mix of businesses.

The report concludes that total investment in downtown has increased 183 percent over the past two years, rising from $1.13 million in fiscal year 2024 to more than $3.19 million this fiscal year.

Council Approves New Agreement

Following Gilmore’s presentation, the council approved a revised contract with the DSDC to continue providing downtown revitalization services through June 30, 2029. The agreement carries an anticipated annual budget of $249,110, funded through the Municipal Service District tax and other town support.

The contract was revised after a public hearing in June. Council members shortened the agreement from five years to three years and added a provision allowing either the town or the DSDC to terminate the agreement with 90 days written notice.

The agreement also formalizes many of the performance measures discussed following the June business survey. Among them are annual business surveys, quarterly business visits, the creation of the Downtown Business Alliance, measurement of downtown visitation and foot traffic, business recruitment efforts, vacancy monitoring, economic impact reporting and semiannual financial reviews.

With the new contract approved and several initiatives scheduled to begin in the coming months, town leaders will now be watching to see whether the DSDC can translate growing investment and visitor numbers into stronger relationships with downtown businesses and sustained economic growth.